I'll have to read up on this a bit more, but it's piqued my interest at least.
Though unfortunately I can't say I trust a startup that states in their initial prospectus:
Though unfortunately I can't say I trust a startup that states in their initial prospectus:
Quote
Total IPO funding in BTC: 11,200 BTC
Company valuation based on current exchange rate (1 BTC =
400 USD): $11.2M
Company valuation based on current exchange rate (1 BTC =
400 USD): $11.2M
Why? 4 million usd is a lot for a startup but 28nm nre costs are pretty expensive afaik.
Edit: 4 million actually sounds too much even for 28nm. Asicminer only needed to raise $200,000 or 5% of what they are asking
I suppose it was more 'tongue in cheek' than anything else. Consider it a prelude to the coming storm of "zomg so overvalued", and "their value iz waayy 2 high"
Whether or not raising $4M is needed, I don't know. My first thought was, "OK, they need money for R&D that doesn't include preorders...cool...but then what the hell was the Angel Seed Funding used for, especially to warrant a 30% stake?"
I gave it a read as well according to their timeline and demo they have finished development and need the money for production of units.
Although it is a good question what the 30% angel seed funding was used for assuming R@D
That said I do think the cost is different between script and Asic production although I do not know the specifics.
The valuation is 11.2 Million with Angels and Founder Shares involved but at least it was stated in the prospectus.
When I did the math I got those numbers, although I definitely could read that as 1 BTC = 1000/USD as well --> 11,200 BTC = 11.2 Mill
Math:
11,200 Divide by 0.14/share = 80,000 Shares the Public Share valuation
Another way to read it is
200,000 Shares * 0.14 BTC/Share = 28,000 BTC * 400/USD Share = 11.2 Million
The Bitcoin Based Value is 11,200 then the remainder should be capital or fiat.
Total IPO funding in BTC: 11,200 BTC
Total Fiat equivalents measured in BTC = 16,800 BTC
Company value if all in BTC at 400/USD a share = 28,000 BTC
Valuations aside it is nice they benchmark another company Silver Fish when trying to get that number rather than just something in:
Funding for IC fabrication and miner manufacturing:
Approximately $3,600,000
R&D Cost & other costs: USD$400,000
Funding needed specifically for large scale manufacturing of proven chips at least that is what I get from the demo and prospectus.
The two videos should be identical one in Chinese the other in English but it does not hurt to confirm.
Props for a two language demo though
https://www.youtube.com/watch?v=HUvSZStKg4s&feature=youtu.be
https://www.youtube.com/watch?v=edS8I02a8UI&feature=youtu.be
In this IPO:
We have a human face to this company with a recent video showing it working
And a schedule to follow with the first production run and distribution within three to four months of the initial IPO
IC front-end design has been proven via FPGA:
IC back-end design to be completed in next two weeks
Tapeout to worlds leading foundry in April 2014
Chips expected to be delivered in June 2014
Shipping of final products will begin July 2014
Only time will tell how it goes in the end.
Did about a dozen edits think this version looks ok
